Confectionery is described by Ampol General Manager Merchandise Skye Jackson as a “key offering” within the P&C channel and a “high performing” category for Ampol.
“Confectionery is an exciting category that sees a constant stream of new products being introduced,” she says. “Ampol selects a number of products to activate each year to ensure customers are aware of the exciting new products available.”
Discussing the year that was, 7-Eleven Australia Food Category Lead Adam Lovie says the performance of confectionery lines varied by store.
“Gum and mints, for example, which traditionally overtrade at our CBD locations, saw reductions during the height of Covid,” he says. “Although most sub-categories have started to recover since the easing of restrictions, and city trade is beginning to pick up, gum and mint lines are still trending down year on year.”
Mr Lovie adds: “We’re seeing health and sports nutrition lines trending up as our customers return to pre-pandemic routines at gyms and with personal trainers. We’re seeing this echoed by growth in the protein subcategory.”
Despite these impacts of Covid-19, several suppliers offer Convenience World rather positive reflections on category performance in 2021.
Menz Confectionery (previously Robern Menz) feels “extremely fortunate” to have such a loyal fan base that continues to support the confectioner through thick and thin.
“Our nostalgic brands, particularly the iconic FruChocs and Violet Crumble, continue to receive amazing support,” says Menz Confectionery Marketing Manager Polly Love.
“In times of uncertainty, consumers seek comfort in their go-to brand favourites that they know and love. Throughout [2021], we [saw] exceptionally strong sales and excitement in our latest ranges – Caramel Violet Crumble and Violet Crumble Milk – indicating Aussies’ willingness to experiment with brands they know and trust.”
Ms Love adds that the ongoing “love and support” from Menz Confectionery’s petrol and convenience chains has contributed to a “huge amount” of the company’s success.
“We’re very fortunate to have such a strong presence within these independent supermarkets and P&C chains,” she says. “Our strong rapport has led to exceptional activation opportunities within these extremely valued retailers.”
From Cooks Confectionery’s point of view, the category “still performed” in P&C, says Managing Director Ruben Lezcano.
In particular, he notes that the impulse offer to suit the pantry tended to perform best.
“Multi-buys in the case of [Cooks’] Scorched Peanut Bar worked best, taking advantage of fewer trips to the petrol station,” he says.
Backing up this view, Mr Lovie says: “One noticeable trend was a shift into larger confectionery bags including share packs over single bars. Offerings including bags, blocks and take-home treats all saw strong results [at 7-Eleven last year]. In states with extended lockdowns, our customers traded up into larger portion sizes for sharing, instead of smaller sized individual treats.”
Ms Jackson also notes: “As a result of people spending more time at home, we see customers trending away from last-minute singular purchases and towards large share pack sizes to enjoy with friends and family.”
A little more reserved, Pana Organic founder Pana Barbounis describes the confectionery performance as “patchy” over the past 18 months. But considering the pandemic, he acknowledges that this isn’t unusual.
However, overall, Mr Barbounis reflects: “We’ve seen consumers really support new flavour releases and line expansions.”
Read more about the confectionery category in the January/February issue of Convenience World.
